HP's other key units including Printing (-4%) and Enterprise (-9%) also fell.

Software was the only HP division to grow - rising 1%.

In a conference call to investors , CEO Meg Whitman noted "weak enterprise spending environment" and the "challenges" in enterprise group and personal systems" ahead, and said it is "unlikely" to grow sales in fiscal 2014.

"The fact that 2013 revenue from key accounts in enterprise services is running off more slowly than anticipated, we now expect that total company year-over-year revenue growth in fiscal 2014 is unlikely,".

However, HP boss insists she remains 'confident that we are making progress in our turnaround," citing cost cutting and new innovations.

We are already seeing significant improvement in our operations, we are successfully rebuilding our balance sheet, our cost structure is more closely aligned with our revenue and we have reignited innovation."

Cash flow down 6% to $2.7 billion. HP Returned $283 million to shareholders in the form of dividends and share repurchases